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Susan Collins on Free Trade Republican Jr Senator (ME)

Some trade agreements have resulted in more tariffs

Collins said trade agreements have created some jobs in Maine, such as an agreement with Chile for Maine potatoes at Burger King restaurants. But some trade agreements have resulted in tariffs that have hurt other Maine agricultural and forest sectors, she said.

Allen said he is co-sponsoring legislation that would review existing trade agreements that have done a lot of damage to the U.S. economy.

Voted YES on promoting free trade with Peru.

• enforcement of textile and apparel rules of origin;
• certain textile and apparel safeguard measures; and
• enforcement of export laws governing trade of timber products from Peru.

Proponents support voting YES because:

Rep. RANGEL: It's absolutely ridiculous to believe that we can create jobs without trade. I had the opportunity to travel to Peru recently. I saw firsthand how important this agreement is to Peru and how this agreement will strengthen an important ally of ours in that region. Peru is resisting the efforts of Venezuela's authoritarian President Hugo Chavez to wage a war of words and ideas in Latin America against the US. Congress should acknowledge the support of the people of Peru and pass this legislation by a strong margin.

Opponents recommend voting NO because:

Rep. WU: I regret that I cannot vote for this bill tonight because it does not put human rights on an equal footing with environmental and labor protections.

Rep. KILDEE: All trade agreements suffer from the same fundamental flaw: They are not self-enforcing. Trade agreements depend upon vigorous enforcement, which requires official complaints be made when violations occur. I have no faith in President Bush to show any enthusiasm to enforce this agreement. Congress should not hand this administration yet another trade agreement because past agreements have been more efficient at exporting jobs than goods and services. I appeal to all Members of Congress to vote NO on this. But I appeal especially to my fellow Democrats not to turn their backs on those American workers who suffer from the export of their jobs. They want a paycheck, not an unemployment check.

Voted NO on free trade agreement with Oman.

Opponents of the bill say to vote NAY because:
• International trade can confer tremendous benefits on all of its participants. Unfortunately, the Oman Free Trade Agreement fails to live up to that potential.
• In 2001, the US entered into a similar trade agreement with the country of Jordan. The agreement was heralded for its progressive labor standards. However, we have recently seen in Jordan instances of foreign workers forced into slave labor, stripped of their passports, denied their wages, and compelled to work for days without rest.
• These incidents have been occurring in Jordan because Jordanian labor laws preclude protections for foreign workers. My fear in Oman is that they have far weaker labor standards, and that would lend itself to even worse conditions than in Jordan.
• When our trade partners are held to different, less stringent standards, no one is better off. When Omani firms can employ workers in substandard conditions, the Omani workers and American workers both lose. The playing field is not level.

Proponents of the bill say to vote YEA because:
• The Oman Free Trade Agreement sends a very important message that the US strongly supports the economic development of moderate Middle Eastern nations. This is a vital message in the global war on terrorism.
• Since the end of WWII, the US has accepted nonreciprocal trade concessions in order to further important Cold War and post-Cold War foreign policy objectives. Examples include offering Japan and Europe nonreciprocal access to American markets during the 1950s in order to strengthen the economies of our allies and prevent the spread of communism.
• Oman is quickly running out of oil and, as a result, has launched a series of measures to reform its economy. This free-trade agreement immediately removes Oman's uniform 5% tariff on US goods.

Voted NO on implementing CAFTA for Central America free-trade.

• Progressively eliminate customs duties on all originating goods traded among the participating nations
• Preserve US duties on imports of sugar goods over a certain quota
• Remove duties on textile and apparel goods traded among participating nations
• Prohibit export subsidies for agricultural goods traded among participating nations
• Provide for cooperation among participating nations on customs laws and import licensing procedures
• Recommend that each participating nation uphold the Fundamental Principles and Rights at Work
• Urge each participating nation to obey various international agreements regarding intellectual property rights

Voted YES on establishing free trade between US & Singapore.

Voted YES on establishing free trade between the US and Chile.

Voted YES on extending free trade to Andean nations.

Voted YES on granting normal trade relations status to Vietnam.

Voted YES on removing common goods from national security export rules.

Voted YES on permanent normal trade relations with China.

Voted NO on expanding trade to the third world.

Voted YES on renewing 'fast track' presidential trade authority.

Promote the Andean Free Trade Agreement.

After a month of debate the Senate passed a The Andean Free Trade Agreement (H.R. 3009) including language to grant the president trade promotion authority. With the unanimous support of all eight Republican Main Street Partnership Senators, H.R. 3009 passed 66 to 30. Included in the legislation is an expansion of Trade Adjustment Assistance (TAA) providing a tax credit for 70% of the cost of health insurance purchased individually after losing employment as a result of a trade agreement. While the Senate maintained its pro-trade reputation by defeating amendments by Senator Kerry (MA) and Senator Byrd (WV) diluting Trade Promotion Authority, one amendment strongly opposed by Main Street remains in the bill. An amendment offered by Senator Dayton (MN) and Senator Craig (ID) would allow the Senate to remove from fast-track consideration any provision of an agreement that would limit US trade remedy laws. Main Street firmly believes that this negates Trade Promotion Authority entirely, and supports President Bush's veto threat should this language remain intact after a House/Senate conference.

Rated 67% by CATO, indicating a pro-free trade voting record.

The mission of the Cato Institute Center for Trade Policy Studies is to increase public understanding of the benefits of free trade and the costs of protectionism.

The Cato Trade Center focuses not only on U.S. protectionism, but also on trade barriers around the world. Cato scholars examine how the negotiation of multilateral, regional, and bilateral trade agreements can reduce trade barriers and provide institutional support for open markets. Not all trade agreements, however, lead to genuine liberalization. In this regard, Trade Center studies scrutinize whether purportedly market-opening accords actually seek to dictate marketplace results, or increase bureaucratic interference in the economy as a condition of market access.

Studies by Cato Trade Center scholars show that the United States is most effective in encouraging open markets abroad when it leads by example. The relative openness and consequent strength of the U.S. economy already lend powerful support to the worldwide trend toward embracing open markets. Consistent adherence by the United States to free trade principles would give this trend even greater momentum. Thus, Cato scholars have found that unilateral liberalization supports rather than undermines productive trade negotiations.

Scholars at the Cato Trade Center aim at nothing less than changing the terms of the trade policy debate: away from the current mercantilist preoccupation with trade balances, and toward a recognition that open markets are their own reward.

The following ratings are based on the votes the organization considered most important; the numbers reflect the percentage of time the representative voted the organization's preferred position.

Free trade with post-Orange Revolution Ukraine.

OFFICIAL CONGRESSIONAL SUMMARY: To authorize the extension of nondiscriminatory treatment (normal trade relations treatment) to the products of Ukraine.

SPONSOR'S INTRODUCTORY REMARKS: Sen. McCAIN: The recent Orange Revolution in Ukraine marked a huge victory for the advancement of democracy in the world. The Ukrainian people made clear that they would not stand idle as a corrupt regime sought to deny them their democratic rights. Now that the people of Ukraine have seized control of their destiny, the US must stand ready to assist them as they do the hard work of consolidating democracy.

The purpose of the amendment is to terminate the Jackson-Vanik amendment, with respect to Ukraine. Beyond any benefits to our bilateral trading relationship, lifting Jackson-Vanik for Ukraine constitutes an important symbol of Ukraine's new democracy and its relationship with the US. Tomorrow, Ukrainian President Yushchenko will address a joint session of Congress, an honor which we bestow on few foreign leaders. As we have the privilege of welcoming this true hero of democracy, I can think of no better gesture than terminating the anachronistic & inappropriate Jackson-Vanik restrictions on Ukraine.

EXCERPTS OF AMENDMENT:

Congress finds that Ukraine has--
1. made considerable progress toward respecting fundamental human rights
2. adopted administrative procedures that accord its citizens the right to emigrate, travel freely, and to return to their country without restriction; and
3. been found to be in full compliance with the freedom of emigration provisions in the Trade Act of 1974.

LEGISLATIVE OUTCOME:Considered by Senate on 4/6/2005; never came to a vote.

Extend trade restrictions on Burma to promote democracy.

A joint resolution approving the renewal of import restrictions contained in the Burmese Freedom and Democracy Act of 2003. The original act sanctioned the ruling military junta, and recognized the National League of Democracy as the legitimate representative of the Burmese people.

Legislative Outcome: Related bills: H.J.RES.44, H.J.RES.93, S.J.RES.41; became Public Law 110-52.

Impose tariffs against countries which manipulate currency.

• Amends the Tariff Act of 1930 to include as a "countervailable subsidy" requiring action under a countervailing duty or antidumping duty proceeding the benefit conferred on merchandise imported into the US from foreign countries with fundamentally undervalued currency.
• Defines "benefit conferred" as the difference between:
  1. the amount of currency provided by a foreign country in which the subject merchandise is produced; and
  2. the amount of currency such country would have provided if the real effective exchange rate of its currency were not fundamentally undervalued.
• Determines that the currency of a foreign country is fundamentally undervalued if for an 18-month period:
  1. the government of the country engages in protracted, large-scale intervention in one or more foreign exchange markets
  2. the country's real effective exchange rate is undervalued by at least 5%
  3. the country has experienced significant and persistent global current account surpluses; and
  4. the country's government has foreign asset reserves exceeding the amount necessary to repay all its debt obligations.

[Explanatory note from Wikipedia.com "Exchange Rate"]:

Between 1994 and 2005, the Chinese yuan renminbi was pegged to the US dollar at RMB 8.28 to $1. Countries may gain an advantage in international trade if they manipulate the value of their currency by artificially keeping its value low. It is argued that China has succeeded in doing this over a long period of time. However, a 2005 appreciation of the Yuan by 22% was followed by a 39% increase in Chinese imports to the US. In 2010, other nations, including Japan & Brazil, attempted to devalue their currency in the hopes of subsidizing cheap exports and bolstering their ailing economies. A low exchange rate lowers the price of a country's goods for consumers in other countries but raises the price of imported goods for consumers in the manipulating country.

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